Do water features add value to your home?

<<>> Water features are defined as ponds, rocks and small streams that lead to a pond, a pond with gold fish or other fish and landscaping that offers water built into the design. Many of these landscaping features are very expensive. I’ve personally seen some water features cost over $30,000 to install. There is no doubt that these items are expensive to install and they are expensive to maintain. Do water features add value to your home? The simple answer is no. Let me explain.

I’ve looked at several homes over the years when the owners have been disappointed because they used significant amount of money to improve their home by adding water features with rock water falls and a stream that leads to a small pond filled with fish. There are native trees, flowering and water plants planted along the stream. The sound of the water provides a relaxing element next to the patio. The stream leads to a small pond below.

When you get your appraisal back, the appraiser didn’t even mention all of the money you’ve spent on these water features, let alone give you any value for them. Do you know why? The only way that real estate appraisers can give you value for these items is if water features are used in your market area, the realtor that listed your home recognizes these water features and adds them to the MLS, and there are some recent, similar homes in your market area that will support an value increase for water features.

So you see, finding recent, similar homes with these types of water features, will be about as rare as a wild cat with a pet bird. In every situation that I’ve reviewed no value will be given to water features. This is because they simply can not be supported. The only way that you can get value for these types of things is indirectly.

Let me explain. If the appraiser finds sales in your area with a 20% range of value for similar homes, your water features along with all other quality amenities will allow the appraiser to value your home at the higher end of the value range. But under no situation will the appraiser adjust for a water feature unless there is direct support. And your chances are about as likely as a wild cat having a pet bird. Will water features increase home value. No. Add water features if you’d like, but don’t think for a minute that it will increase home value.